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Buy here pay here dealerships offer in-house financing to make car purchases easier for shoppers with challenging credit or no credit. Often, these dealers also report on-time payments to the credit bureaus and may help shoppers repair their credit score after making on-time loan payments. However, these financing options are typically expensive and come with high interest rates.

What is to buy now and agree to pay later?

How does this type of financing work? Traditionally, when you purchase a vehicle from a traditional dealership, you either arrange the financing on your own or apply at the dealership to have your information shopped to potential lenders in their network. This gives the dealer a chance to find the best financing for you.

At buy here pay here (BHPH) dealerships, everything happens in one place, which is why they’re sometimes called in-house financing. The dealership makes money from selling cars and making car loans, so they have a vested interest in helping you make your payments. This can mean a more flexible financing agreement and a wider selection of vehicles to choose from. Go here : https://buyherepayhere.io

The downside is that it can be easy to spend more than the car is worth if you’re not careful. Unlike traditional lenders, who limit the amount you can borrow based on the value of the vehicle, BHPH dealers often don’t set those limits. You could end up owing more on your loan than the car is worth, which can leave you upside down on your car as soon as you drive it off the lot. In addition, some BHPH lenders require tracking devices in the cars they lend money on and will disable your vehicle if you fail to make your payment.

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